'Remittance inflow is increasing due to the upcoming Eid-ul-Fitr'
Expatriate Bangladeshis sent $2.06 billion in remittance last month, up 89.17% year-on-year from last April.
Bangladesh received $1.91 billion in remittances in March; the figure in April was 8.19% higher than that amount, according to the latest data from the Bangladesh Bank.
“Remittance inflow is increasing due to the upcoming Eid-ul-Fitr. Every year, Bangladeshi expatriates send huge amount of foreign currencies to the country ahead of Eid,” Bangladesh Bank spokesperson and executive director Serajul Islam told Dhaka Tribune.
Bangladeshi expatriates have sent more remittance than before to their relatives, created by the ongoing Covid-19 pandemic, he added.
Remittance inflow increased 39% to $20 billion in July-April period of the current fiscal year, compared to the same period of the last fiscal year.
“The remittance earnings are increasing day by day amid the Covid-19 pandemic as the government and the central bank took several initiatives to boost it,” said a top central bank official.
“The 2% cash incentive on remittance earning has played a vital role behind this,” he added.
The inflow of remittance would maintain a standard flow in the upcoming days as the migrant workers are already used to the legal channels and are enjoying the 2% cash incentive, said Zaid Bakht, research director of the Bangladesh Institute of Development Studies.
As coronavirus was tearing through the globe in February last year, fear gripped Bangladesh that remittance, which has gone on to become one of the lifelines of the economy, would take a massive hit.
The inflow of remittance declined from February to April when the pandemic was putting down its roots all over the world.
But from May onwards the inflows have been on the rise as countries all over the world gradually started to ease their movement control orders to flatten the curve on coronavirus.